Engel Curve

… a core term used in Economic Analysis and Atlas102


Wikipedia defines an Engel curve as a curve depicting how household expenditure on a particular good or service varies with household income.

Wikipedia goes on to say:

“There are two varieties of Engel curves. Budget share Engel curves describe how the proportion of household income spent on a good varies with income. Alternatively, Engel curves can also describe how real expenditure varies with household income. They are named after the German statistician Ernst Engel (1821–1896), who was the first to investigate this relationship between goods expenditure and income systematically in 1857. The best-known single result from the article is Engel’s law which states that the poorer a family is, the larger the budget share it spends on nourishment.”

Atlas topic, subject, and course

Consumer Theory and Elasticity of Demand and Supply (core topic) in Economic Analysis and Atlas102 Economic Analysis.


Wikipedia, Engel curve, at https://en.wikipedia.org/wiki/Engel_curve,  accessed 12 May 2016.

Page created by: Ian Clark, last modified 12 May 2016.